Hanoi (VNS/VNA) - The Ministry of Construction is eyeing new mechanisms to promote affordable commercial housing as apartment prices have skyrocketed in major cities.

Priority would be placed on accelerating social housing development while studying policies to encourage lower-cost commercial housing, in line with Conclusion No. 18-KL/TW issued on April 2, 2026, by the Party Central Committee, the ministry said.

It also planned to improve regulations to support the renovation and reconstruction of old apartment buildings in major urban areas.

The real estate market showed positive signals in the first quarter of 2026 as legal frameworks were gradually improved, helping to resolve bottlenecks for stalled projects and boost new supply. However, the sector continues to face headwinds from global geopolitical uncertainties, inflationary pressure, exchange rate volatility, rising construction and logistics costs, and relatively high interest rates.

The ministry’s statistics showed that the market saw 30,857 transactions involving apartments and individual houses in the first quarter of this year, along with 108,998 land plot deals.

Property inventory stood at around 29,860 units and plots, including 10,496 apartments, 10,474 houses and 8,890 land plots.

However, apartment prices continued to climb, driven by higher material and financing costs. Average prices reached about 128 million VND (5,000 USD) per sq.m in Hanoi and 112 million VND per sq.m in Ho Chi Minh City.

The ministry said it would submit proposals for a directive of the Party Central Committee’s Secretariat aimed at strengthening leadership over real estate market development and management while finalising amendments to the Law on Housing and the Law on Real Estate Business for government review.

The ministry urged the Ministry of Agriculture and Environment to speed up the issuance of land identification codes and land-use certificates to complete a national land database.

The State Bank of Vietnam was urged to accelerate disbursement under a 145 trillion VND credit package for social and worker housing, with a focus on buyers under 35, while maintaining strict oversight of real estate lending.

Provincial authorities must review and approve housing development plans for 2026-2030 to ensure consistency with land use planning and local demand./.